The Columbian. [volume] (Bloomsburg, Pa.) 1866-1910, 1887-06-24
TAXATION,


a bill providing for more equal di-
vision of taxes between corporations
and individuals.
Mr.. Fritz said Mr.. Speaker, the
equalization OF taxation between all
classes of persons and all classes Of
is a subject worthy Of the con-
sideration of this House. Session after
session of the Legislature, petitions
and memorials have been presented
from all parts of the State, and per-
haps more requests have been made by
the people of this Commonwealth for
change in our system of taxation
than for any other object. The farm
ers and real estate owners in my Sec
ton of the State are almost unanimous
ly in favor of some measure that will
more equally divide the burdens of tax
alton. l therefore ask the indulgence
of the House for few minutes upon
this question. While it will be ad-
mittted that it is impossible to make
an exact equalization of taxes upon per
sons and property, no one will deny
that there could be more equal divis-
ion than our present tax laws give
us.
There is no subject before the Legis-
lature that more directly and deeply
interests the people than taxation. 1t
cannot be denied that great inequali-
ties exist. The burden Of local taxation
for county, school, poor and road pur-
poses falls almost entirely upon real
estate. Unequal taxation, and other
determinations, has greatly depreci-
ated the value of farm land and real
estate in general in this Common
wealth. l have heard it said that if
we do not exempt certain classes of
personal property and certain indus
tries from taxation that they would be
driven out of the State-I might say
out of existence. But there is another
class of taxpayers that these burdens
fall heavily upon-more heavily than
any other in the State. ] mean the farm.
ers and real estate owners. According
to the Constitution of the State ''all
taxes shall be uniform upon the same
class of subjects" The burdens of
taxation should be equalized between
all classes of persons and all classes of
property. The high and low. the rich
and poor, should be taxed in proper
ton to the valuation of their property.
The capital of the farmer and real
estate owner is taxed four or five times
as much as the capital of corporations.
This is certainly an unwarrantable
and unjust discrimination, oppressive
to real estate, and contrary to the
spirit of the Constitution and natural
equity. 1t would seem, if any dis
tinction were made, that it should be in
favor of that form of capital that is
most productive-in favor of the hard
working, laboring classes of this Com
monwealth. But all that we ask is
that there should be an equalization,
as near as may be, of the burdens i'm
posed on each form of property. The
farm lands and real estate in general
are suffering to-day from the onerous
burdens of taxation, and the cry for
Its relief comes to us from class in
the community whose appeals should
be carefully considered the owners of
homes and the tillers of the soil. The
inequality is too great against the
large majority of taxpayers of this
Commonwealth - the farmers and
laborers-and change must come
sooner or later.
Those who have made the subject a
study are almost unanimous in the
opinion that corporate and personal
property has not and does not bear a
fair share of the burdens of taxation.
Hon. J. Simpson Africa, Secretary Of
Internal Affairs, gives the total value
of real estate in this Commonwealth
at one billion, six hundred and ninety.
seven million dollars (Sl, 900, ,OO0).
The total value of personal property,
which is far below its real value, is one
billion, four hundred and sixty.three
million dollars 81, ,463, 1000, ,O00), which
includes corporation stock, corporation
loans, national and State bank stock,
county loans, municipal loans ard
money at interest. But there are
other classes of personal property that
are not included in this list. So that
the estimated aggregate value of per-
sonal property is equal if not higher
than that of the real estate The Au-
ditor General claims that there are
four hundred millions of dollars held
by corporations that is not returned,
and for which no tax is paid. This sum
added to the figures just given shows
that the value of personal property is
more than two hundred millions of
dollars greater than the value of real
estate. The estimated total tax paid
on real estate in this Commonwealth,
is thirty millions three hundred and
ninety-fve thousand dollars (S30,395,.
000), and the estimated total tax paid
on personal property is five millions
nine hundred and sixty-two thousand
dollars (S5,962,000) Now, if per-
sonal property paid the same mill rate
as real estate it would pay twenty six
millions one hundred and thirteen thou
| sand dollars 1926, $1,000, or would
exceed the amount it now pays by
twenty millions of dollars $4,000, 900
according to the amount returned OF
each class of property. But if the
total value of all property in this Com,
monwealth is returned as it should be,
and the total amount of taxes paid is
about thirty-six millions of dollars, real
estate should pay eighteen millions OF
| dollars, or twelve millions less than il
now pays, and the corporations, and all
classes of personal property should pay
the same amount, or about twelve
millions more than It now pays. Now
if the figures given by the Auditor
General and the Secretary of Internal
Affairs are correct, and | think no one
can dispute them, in order to equalize,
as near as may be, the taxes of this
State between all classes of property,
something should be done by this Legis.
lature toward giving the relief asked
for by the great mass of farmers, real
estate owners and laborers of this Com
monwealth. 1t has been estimated that
moneyed capital earns about five per
cent per aunum, and that real estate
earns about two and one.half. If two
men should have five thousand dollars
each to invest, the one purchases a
farm aud the other invests his money
in cornnrata atnck or Gonna ot har ola ss